RUSH TRANSCRIPT The 10 ░░░░░░░░ treasury yield down to ░░░░░░░░ 35 We will talk ░░░░░░░░ that in a moment ░░░░░░░░ of all Liz Peek ░░░░░░░░ Martin Susan Li Ashley ░░░░░░░░ all on the show ░░░░░░░░ morning Start with you ░░░░░░░░ Is it all boiling ░░░░░░░░ to this no action ░░░░░░░░ being done in Washington ░░░░░░░░ no good news on ░░░░░░░░ trade Is that why ░░░░░░░░ re down I think ░░░░░░░░ s about right Stuart ░░░░░░░░ the fact as you ░░░░░░░░ Gary Kaltbaum mentioned earlier ░░░░░░░░ fact the markets had ░░░░░░░░ nice run this year ░░░░░░░░ backfilling is probably due ░░░░░░░░ thing in D C ░░░░░░░░ interesting It s not ░░░░░░░░ so much the no ░░░░░░░░ yet because we do ░░░░░░░░ some promise of maybe ░░░░░░░░ happening in late June ░░░░░░░░ the G 20 in ░░░░░░░░ I think it s ░░░░░░░░ messaging I think the ░░░░░░░░ from the administration with ░░░░░░░░ due respect to them ░░░░░░░░ a little off Steve ░░░░░░░░ and others talking about ░░░░░░░░ impact from the tariffs ░░░░░░░░ have seen the pain ░░░░░░░░ are feeling with some ░░░░░░░░ Jeff Flock s reports ░░░░░░░░ I think that s ░░░░░░░░ from reality the administration ░░░░░░░░ to have is what ░░░░░░░░ bothering the markets right ░░░░░░░░ Stuart All right We ░░░░░░░░ take that under advisement ░░░░░░░░ ve got a couple ░░░░░░░░ bearish analyst calls on ░░░░░░░░ Gene Munster warned that ░░░░░░░░ company won t meet ░░░░░░░░ delivery Citi says the ░░░░░░░░ could drop to 36 ░░░░░░░░ share The stock has ░░░░░░░░ from earlier losses but ░░░░░░░░ still at 193 Back ░░░░░░░░ you Scott Is this ░░░░░░░░ game for Tesla No ░░░░░░░░ don t think it ░░░░░░░░ end game I think ░░░░░░░░ s rough game going ░░░░░░░░ for a little while ░░░░░░░░ s face it you ░░░░░░░░ we talked about this ░░░░░░░░ Elon Musk is not ░░░░░░░░ good CEO He s ░░░░░░░░ good innovator They have ░░░░░░░░ a lot of piling ░░░░░░░░ now from analysts and ░░░░░░░░ forth about these price ░░░░░░░░ if you will Some ░░░░░░░░ these are crazy though ░░░░░░░░ of these analysts are ░░░░░░░░ estimates from 350 to ░░░░░░░░ to 120 to 50 ░░░░░░░░ are getting a little ░░░░░░░░ out of control Tesla ░░░░░░░░ to me is a ░░░░░░░░ company and always has ░░░░░░░░ Some of the ip ░░░░░░░░ of the ingenuity they ░░░░░░░░ is worth something Whether ░░░░░░░░ merges with his space ░░░░░░░░ or other companies that ░░░░░░░░ be interested in what ░░░░░░░░ have is probably the ░░░░░░░░ game for Tesla which ░░░░░░░░ not be where people ░░░░░░░░ it s going which ░░░░░░░░ low single digits or ░░░░░░░░ Gene Munster who made ░░░░░░░░ call on future production ░░░░░░░░ Tesla is on the ░░░░░░░░ this morning 11 00 ░░░░░░░░ this program I need ░░░░░░░░ get to retail Look ░░░░░░░░ Victoria s secret parent ░░░░░░░░ brands That stock s ░░░░░░░░ after reporting higher profits ░░░░░░░░ 6 gain there Best ░░░░░░░░ higher sales solid forecast ░░░░░░░░ the company s CEO ░░░░░░░░ tariffs will lead to ░░░░░░░░ increases Liz what do ░░░░░░░░ say Look they are ░░░░░░░░ talking about tariffs being ░░░░░░░░ big problem down the ░░░░░░░░ Target was one of ░░░░░░░░ few companies that did ░░░░░░░░ fight that They didn ░░░░░░░░ change their forward guidance ░░░░░░░░ the answer is this ░░░░░░░░ obviously weighing on these ░░░░░░░░ and it s icing ░░░░░░░░ the cake They already ░░░░░░░░ problems This is more ░░░░░░░░ it Ashley To Liz ░░░░░░░░ point on the one ░░░░░░░░ you have some retailers ░░░░░░░░ well I say that ░░░░░░░░ jest Some retailers have ░░░░░░░░ okay in the first ░░░░░░░░ but more stores have ░░░░░░░░ their doors for good ░░░░░░░░ year than all of ░░░░░░░░ year and it s ░░░░░░░░ only may Susan Also ░░░░░░░░ s e commerce is ░░░░░░░░ we were talking about ░░░░░░░░ are winners and losers ░░░░░░░░ winners are target and ░░░░░░░░ that figured out if ░░░░░░░░ have bricks and mortars ░░░░░░░░ up delivery works The ░░░░░░░░ thing it s not ░░░░░░░░ consumer Sales are actually ░░░░░░░░ if you combine March ░░░░░░░░ April the numbers were ░░░░░░░░ bad at all Spending ░░░░░░░░ okay Susan Retail sales ░░░░░░░░ been down two out ░░░░░░░░ the three months this ░░░░░░░░ I guess we were ░░░░░░░░ What we are really ░░░░░░░░ about here is the ░░░░░░░░ effect of China tariffs ░░░░░░░░ bad is it going ░░░░░░░░ be Don t tell ░░░░░░░░ there s no impact ░░░░░░░░ The longer it goes ░░░░░░░░ clearly the worse it ░░░░░░░░ going to be Quick ░░░░░░░░ from you please Scott ░░░░░░░░ the hiring side too ░░░░░░░░ interesting That s been ░░░░░░░░ little bit of a ░░░░░░░░ in the coal mine ░░░░░░░░ the sense of like ░░░░░░░░ hiring because we look ░░░░░░░░ job reports a lot ░░░░░░░░ figure out what sectors ░░░░░░░░ hot or not and ░░░░░░░░ hiring has been terrible ░░░░░░░░ last few months so ░░░░░░░░ this year That s ░░░░░░░░ that s showing to ░░░░░░░░ point about the impact ░░░░░░░░ the tariffs So you ░░░░░░░░ workers and you raise ░░░░░░░░ and that s how ░░░░░░░░ fight those things Stuart ░░░░░░░░ check of the big ░░░░░░░░ this is the low ░░░░░░░░ the morning We are ░░░░░░░░ five minutes into the ░░░░░░░░ but we are down ░░░░░░░░ points as we speak ░░░░░░░░ puts us at 25 ░░░░░░░░ Better take a look ░░░░░░░░ Apple UBS cut its ░░░░░░░░ target from 235 to ░░░░░░░░ They cut their iPhone ░░░░░░░░ and they blame weak ░░░░░░░░ from China The stock ░░░░░░░░ 179 3 down Hormel ░░░░░░░░ people they cut their ░░░░░░░░ The CEO says prices ░░░░░░░░ going up because of ░░░░░░░░ of hogs in China ░░░░░░░░ country dealing with swine ░░░░░░░░ outbreak there Hormel down ░░░░░░░░ Shoe carnival their sales ░░░░░░░░ short There s another ░░░░░░░░ Down just a fraction ░░░░░░░░ Just a fraction down ░░░░░░░░ the price of oil ░░░░░░░░ are we this morning ░░░░░░░░ Ashley Big time Stuart ░░░░░░░░ 60 a barrel That ░░░░░░░░ to me about a ░░░░░░░░ world economy pressure on ░░░░░░░░ s economy pressure from ░░░░░░░░ pressure from trade 59 ░░░░░░░░ barrel on crude The ░░░░░░░░ of gold I have ░░░░░░░░ idea Where is it ░░░░░░░░ five bucks 1280 Not ░░░░░░░░ move in gold recently ░░░░░░░░ says it s stopped ░░░░░░░░ commissions to employees who ░░░░░░░░ political ads Is this ░░░░░░░░ big deal Susan Yeah ░░░░░░░░ is a big deal ░░░░░░░░ of the P R ░░░░░░░░ from this used to ░░░░░░░░ a growth outlet for ░░░░░░░░ Now they are backing ░░░░░░░░ from this I was ░░░░░░░░ a look at some ░░░░░░░░ the numbers especially when ░░░░░░░░ comes to political advertising ░░░░░░░░ know it s going ░░░░░░░░ jump to over 3 ░░░░░░░░ for the 2020 campaign ░░░░░░░░ the head of the ░░░░░░░░ re election campaign they ░░░░░░░░ spend 1 billion on ░░░░░░░░ in the run up ░░░░░░░░ 2020 But after Facebook ░░░░░░░░ took a small sliver ░░░░░░░░ the 55 billion they ░░░░░░░░ in revenue so let ░░░░░░░░ back away from that ░░░░░░░░ it s not making ░░░░░░░░ much money for you ░░░░░░░░ by the way there ░░░░░░░░ a big downfall when ░░░░░░░░ comes to P R ░░░░░░░░ they can right because ░░░░░░░░ kind of opinion piece ░░░░░░░░ be read as political ░░░░░░░░ Some of the stuff ░░░░░░░░ was done in Europe ░░░░░░░░ really not direct political ░░░░░░░░ It was influence generating ░░░░░░░░ of commentary I don ░░░░░░░░ really know how they ░░░░░░░░ of get away with ░░░░░░░░ Susan They also imbed ░░░░░░░░ in presidential campaigns They ░░░░░░░░ end that That is ░░░░░░░░ That very obvious piece ░░░░░░░░ not Stuart Facebook people ░░░░░░░░ it s at 183 ░░░░░░░░ we speak Amazon Jeff ░░░░░░░░ blew off a shareholder ░░░░░░░░ to reduce drastically the ░░░░░░░░ s carbon footprints Scott ░░░░░░░░ this Bezos saying he ░░░░░░░░ going to run the ░░░░░░░░ any way he wants ░░░░░░░░ That s what he ░░░░░░░░ saying really isn t ░░░░░░░░ That s what I ░░░░░░░░ feeling And he has ░░░░░░░░ More power to him ░░░░░░░░ think we can all ░░░░░░░░ that we should let ░░░░░░░░ He s been doing ░░░░░░░░ the right way even ░░░░░░░░ to the days when ░░░░░░░░ were losing tons of ░░░░░░░░ and you know doing ░░░░░░░░ of dollars in sales ░░░░░░░░ losing billions of dollars ░░░░░░░░ net look let Jeff ░░░░░░░░ do what he needs ░░░░░░░░ do We own Amazon ░░░░░░░░ in Bezos I trust ░░░░░░░░ think Amazon is very ░░░░░░░░ about being accused of ░░░░░░░░ of the environment because ░░░░░░░░ all those boxes piling ░░░░░░░░ on people s porches ░░░░░░░░ know this is a ░░░░░░░░ and not surprising they ░░░░░░░░ not want this to ░░░░░░░░ a major talking point ░░░░░░░░ a shareholder annual meeting ░░░░░░░░ did everything he could ░░░░░░░░ suppress its discussion because ░░░░░░░░ s a real problem ░░░░░░░░ them Stuart I think ░░░░░░░░ blew off all the ░░░░░░░░ from individual shareholders Most ░░░░░░░░ probably whackadoodle suggestions Susan ░░░░░░░░ will continue to work ░░░░░░░░ governments around the world ░░░░░░░░ We have a new ░░░░░░░░ for the Dow just ░░░░░░░░ us right now off ░░░░░░░░ points as we speak ░░░░░░░░ s a big decline ░░░░░░░░ s 1 25 down ░░░░░░░░ the Dow industrials Susan ░░░░░░░░ I also note that ░░░░░░░░ is a holiday in ░░░░░░░░ U S Typically for ░░░░░░░░ weekends you don t ░░░░░░░░ to hold that much ░░░░░░░░ Could be a bad ░░░░░░░░ of the week Susan ░░░░░░░░ it comes to U ░░░░░░░░ China trade Yeah People ░░░░░░░░ taking money off the ░░░░░░░░ They could come out ░░░░░░░░ Saturday with a tweet ░░░░░░░░ can t wait to ░░░░░░░░ with President Xi and ░░░░░░░░ the people selling will ░░░░░░░░ pretty silly Stuart Scott ░░░░░░░░ you think we are ░░░░░░░░ momentum for the downside ░░░░░░░░ this week will end ░░░░░░░░ You feel that way ░░░░░░░░ feels like that just ░░░░░░░░ of the fact that ░░░░░░░░ think there is still ░░░░░░░░ pretty let s say ░░░░░░░░ longs out there with ░░░░░░░░ to folks that wanted ░░░░░░░░ hang on through this ░░░░░░░░ turn and maybe just ░░░░░░░░ t take it anymore ░░░░░░░░ haven t seen that ░░░░░░░░ of a pullback I ░░░░░░░░ t think it s ░░░░░░░░ tremendous to worry about ░░░░░░░░ than the sense we ░░░░░░░░ see bad feeling here ░░░░░░░░ I think into the ░░░░░░░░ especially given it s ░░░░░░░░ long one you could ░░░░░░░░ selling accelerate Stuart Here ░░░░░░░░ what may be the ░░░░░░░░ of things to come ░░░░░░░░ Motor Company teaming up ░░░░░░░░ another on a robot ░░░░░░░░ delivers packages to your ░░░░░░░░ after getting out of ░░░░░░░░ self driving car In ░░░░░░░░ words the self driving ░░░░░░░░ draws up to your ░░░░░░░░ robot comes out the ░░░░░░░░ picks up the package ░░░░░░░░ across your front doorway ░░░░░░░░ bingo the robot leaves ░░░░░░░░ Robot is called digit ░░░░░░░░ Is it Ashley Yes ░░░░░░░░ they will have 100 ░░░░░░░░ these by early next ░░░░░░░░ They will try them ░░░░░░░░ First it s a ░░░░░░░░ delivery Amazon will drop ░░░░░░░░ from the air using ░░░░░░░░ This one brings them ░░░░░░░░ your front door It ░░░░░░░░ a bit creepy looking ░░░░░░░░ say the least But ░░░░░░░░ could end up actually ░░░░░░░░ groceries as well Susan ░░░░░░░░ people losing their Jobs ░░░░░░░░ U S Postal Service ░░░░░░░░ should be concerned especially ░░░░░░░░ the U S Postal ░░░░░░░░ has been losing about ░░░░░░░░ billion over the past ░░░░░░░░ Stuart This is one ░░░░░░░░ I can see happen ░░░░░░░░ s inevitable There s ░░░░░░░░ worker shortage Who is ░░░░░░░░ to be delivering those ░░░░░░░░ Ashley Digit will be ░░░░░░░░ it The question is ░░░░░░░░ they read your emotions?